More Housing Markets Added to ‘Improving’ List

More Housing Markets Added to ‘Improving’ List

Daily Real Estate News |
Friday, October 05, 2012

More real estate markets are showing signs of strength in its recovery, as the total number of metros on the most recent Improving Markets Index moves up to 103. That marks the largest number of metros on the list since the index’s creation one year ago.

Last month, 99 markets were on the improving market list.

The monthly index — created by the National Association of Home Builders and First American — identifies metro areas that have shown improvement in housing permits, employment, and home prices for at least six consecutive months.

"This is an encouraging sign that the housing recovery is proceeding at a steady pace as firming prices and employment help spur new building activity, which in turn generates new jobs and more home sales," says Barry Rutenberg, NAHB chairman.

Metro areas added to the list in October include Santa Cruz, Calif.; Pocatello, Idaho; Abilene, Texas; and Savannah, Ga. Thirty-three states and the District of Columbia are represented on the October list, according to NAHB.

"The fact that most markets are maintaining their spots on the improving list from month to month is an important indication that the recovery trend is solidifying," says NAHB Chief Economist David Crowe. "At the same time, overly tight credit conditions are certainly constraining consumers' ability to purchase homes as well as builders' ability to construct them."

View a complete list of the metro areas making the list in October at www.nahb.org/imi.